Payment of Independent mortgage adviser

LearnerMan1

When my mortgage comes round in a few years for review; the MA would have contacted me to see about setting up a new fixed rate. My question is, I guess that will be done to me to say at the standard variable rate or choose another product. But the MA will absolutely not be able to charge me again for any services?

LearnerMan1

Also if I don't wish to avail of any other services from the MA, should I instruct then to shred / post back any personal documents they have on me? I.e. Bank statements, pay slips. signed documents.

Thanks for all your advice

Carl2510

I nearly got stung by a estate agent MA, he did my protection. I took out a 2 year fixed rate mortgage. And when I came to remortgage with my current broker He mentioned sorting my life insurance etc. I said ok as he said I was paying stupid money. And it was a joint mortgage with my brother but had me paying for the full mortgage amount. Anyways I rang The estate agent MA who had actually left by then. And asked will I be charged for cancelling my life insurance. He said no.

so I cancelled my new MA arranged my new life insurance.

I was then contacted by the estate agent saying I have breached my conditions even though I asked them if it was ok.

apparently I’d signed up for 4 years for this life insurance. I was a FTB and obviously not clued up on everything. But baffles me now why they would sign me up to 4 years when I only took out a 2 year mortgage. 

Luckily for me they made a mistake on the application. Saying I worked in an office based job. When I actually never have.

they waived the fee and closed the matter I would of had to pay over £1000 if they didn’t. 

MWT

Carl2510 said:

apparently I’d signed up for 4 years for this life insurance. I was a FTB and obviously not clued up on everything. But baffles me now why they would sign me up to 4 years when I only took out a 2 year mortgage.

It wasn't a '2 year mortgage' it was a 2 year fix, not the same thing.

If the insurance was needed it is not unreasonable to assume it would be needed for the duration of the mortgage, not just the fix so a minimum 4 year period is not manifestly unreasonable, but the basic point is of course to read what you are signing so this doesn't happen again.

[Deleted User]

LearnerMan1 said:

When my mortgage comes round in a few years for review; the MA would have contacted me to see about setting up a new fixed rate. My question is, I guess that will be done to me to say at the standard variable rate or choose another product. But the MA will absolutely not be able to charge me again for any services?

doing business with people is entirely optional. When your fixed rate expires you can choose to use your previous advisor or find a new one.  Whether they charge or not is entirely up to them and their business model but you wouldn't get charged for not using the previous broker to redo your mortgage.  

K_S

LearnerMan1 said:

Also if I don't wish to avail of any other services from the MA, should I instruct then to shred / post back any personal documents they have on me? I.e. Bank statements, pay slips. signed documents.
Thanks for all your advice

@LearnerMan1 You can tell them to take you off their customer database and not contact you going forward. All the brokers I know would honour that request. But as they have provided you advice, regulations require that they keep some of your data on file for a long time for a fixed period to be able to support the advice provided. I hope that makes sense.

dunstonh

K_S said:

LearnerMan1 said:

Also if I don't wish to avail of any other services from the MA, should I instruct then to shred / post back any personal documents they have on me? I.e. Bank statements, pay slips. signed documents.
Thanks for all your advice

@LearnerMan1 You can tell them to take you off their customer database and not contact you going forward. All the brokers I know would honour that request. But as they have provided you advice, regulations require that they keep some of your data on file for a fixed period to be able to support the advice provided. I hope that makes sense.

Technically, the data on the advice file can be kept indefinitely as there is no time limit for liability.      Plus, most back office software requires the details to remain on the system for regulatory reasons (new business register, RMAR completion etc).   However, they can certainly remove all marketing and contact.

Carl2510

MWT said: it

Carl2510 said:

apparently I’d signed up for 4 years for this life insurance. I was a FTB and obviously not clued up on everything. But baffles me now why they would sign me up to 4 years when I only took out a 2 year mortgage.

It wasn't a '2 year mortgage' it was a 2 year fix, not the same thing.

If the insurance was needed it is not unreasonable to assume it would be needed for the duration of the mortgage, not just the fix so a minimum 4 year period is not manifestly unreasonable, but the basic point is of course to read what you are signing so this doesn't happen again.

Correct, I was definitely not clued up back then. Live and learn.

ACG

LearnerMan1 said:

Also if I don't wish to avail of any other services from the MA, should I instruct then to shred / post back any personal documents they have on me? I.e. Bank statements, pay slips. signed documents.

Thanks for all your advice

If advice has been provided - even if it was not taken up, we are required to keep hold of your customer file indefinitely. GDPR/Data protection acknowledges there may be times it is superseded by other rules/regulations. You could not ask the police to wipe your criminal record for instance.

K_S

ACG said:

LearnerMan1 said:

Also if I don't wish to avail of any other services from the MA, should I instruct then to shred / post back any personal documents they have on me? I.e. Bank statements, pay slips. signed documents.

Thanks for all your advice

If advice has been provided - even if it was not taken up, we are required to keep hold of your customer file indefinitely. GDPR/Data protection acknowledges there may be times it is superseded by other rules/regulations. You could not ask the police to wipe your criminal record for instance.

@ACG That's very interesting. I do mystery shopping journeys with large brokers occasionally and this is what one of them (one of the top 5 by volume) responded to my request to delete my personal details. This was after they issued me a recommendation and sent across an ESIS and EOR but obviously did not proceed any further.

"The FCA asks that we maintain records of Customer Information obtained for the purpose of assessing suitability for a mortgage for three years. Therefore, we will not be able to delete these details for three years."

I have to check with my principal as to what exactly we practice.